Also known as:reasonable-manner standard · reasonable manner
Written by attorneys · grounded in primary & secondary sources — see below
2 senses
1
A standard requiring that a party understand the nature and consequences of a transaction in a way that a reasonable person would deem appropriate under the circumstances.
2
A standard requiring that a party act in relation to a transaction or other matter in a way that a reasonable person would deem appropriate under the circumstances.
Sense 1
1
Sense 1
A standard requiring that a party understand the nature and consequences of a transaction in a way that a reasonable person would deem appropriate under the circumstances.
Sources & Authorities· 1 source
Select any source to read its text and confirm it supports the definition.
Restatements
Examples
Sense 2
2
Sense 2
A standard requiring that a party act in relation to a transaction or other matter in a way that a reasonable person would deem appropriate under the circumstances.
Sources & Authorities· 2 sources
Select any source to read its text and confirm it supports the definition.
Each sense below has its own examples, sources, and questions.
2
Intoxicated Athlete Signs Endorsement
Rowan Russell wins a championship and becomes visibly intoxicated at a celebration. A marketing executive presents a complex endorsement contract with exclusivity clauses. Rowan signs without grasping the terms. The executive observed the intoxication throughout. Rowan later seeks to avoid the contract.
Conserved Party Signs Trading Agreement
Rita Russell, under a limited financial conservatorship, attends an investment seminar and consumes several cocktails. She signs a complex margin agreement while displaying flat affect and stating she cannot trust her decisions. The representative had prior notice of her condition. Rita later seeks to avoid the contract.
Examples4
Guest Overstays After Eviction Notice
Ralph Richardson receives notice that his host has withdrawn permission to remain on the property. He gathers his belongings and exits the premises within minutes using the most direct path. The host later claims trespass. Richardson's prompt and orderly departure prevents liability.
Mortgagor Neglects Roof Repairs
Raphael Rivera owns a building subject to a mortgage held by Redwood Bank. A known roof leak causes water damage and mold over many months. Rivera takes no steps to repair despite contractor warnings. The property value declines substantially. The bank sues for waste.
Intoxicated Party Cannot Negotiate Terms
Rina Rahman attends a reception and becomes clearly intoxicated. A representative presents a margin trading agreement. Rina slurs her words and cannot focus on the terms. The representative observes the impairment yet proceeds. Rina later seeks to avoid the agreement.
Tenant Removes Equipment After Lease Ends
Raymond Ramos receives notice that his lease has terminated. He returns to the premises at a reasonable time to remove his machinery using standard equipment. The landlord objects to the entry. Raymond completes the removal promptly and without damage.
Frequently Asked3
How does the reasonable manner standard determine capacity to contract when a party is intoxicated?+
The standard asks whether the party could act in a reasonable manner in relation to the transaction and whether the other party had reason to know of the condition. When both elements are met the contract is voidable.
Supporting sources
What must a person do to remain privileged when consent to be on land ends?+
The person must leave with reasonable promptness and in a reasonable manner. Failure to do so removes the privilege and exposes the person to trespass liability.
Supporting sources
When does a mortgagor's failure to repair constitute waste under the reasonable manner standard?+
Waste occurs when the mortgagor fails to maintain and repair the real estate in a reasonable manner without the mortgagee's consent and the failure reduces the property's value. Prolonged inaction after clear notice of defects satisfies the standard.
Supporting sources
471 U.S. 539 (1985)Property
…use was traditionally defined as "a privilege in others than the owner of the copyright to use the copyrighted material in a reasonable manner without his consent." H. Ball, Law of Copyright and Literary Property 260 (1944) (hereinafter Ball). The statutory formulation of the defense of fair use in the Copyright Act reflects the…